Hungarian pálinka’s price to skyrocket soon!

The chairman of the National Council of Pálinka says that increasing prices is the only solution to the rising fruit prices. He cleared that some years before they could buy peach for 200 HUF/kilo. Now it is 400. He added, however, that he is not sure whether the market will accept such a drastic step.

It is good to know that pálinka can be produced only using fruit grown in Hungary. Furthermore, the whole production line has to be in Hungary, too.

László Mihány said to Infórádió, that the reason behind the skyrocketing fruit prices is the problems of the sector. Among others, the tax on pálinka is high, which they have to include in the prices. Moreover, energy and fuel prices have gone up significantly lately. Therefore,

Mr Mihány thinks the only solution is to increase pálinka price.

The National Council of Pálinka’s chairman cleared that the breweries worked with a low margin for years. However, a significant price increase would be dangerous since nobody knows what the consumers would pay. In extreme cases, it might happen that they would change their mind and buy other alcoholic beverages.

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He said that the possible price increase depends on the type of fruit and product. Interestingly,

the market is still falling behind its 2019 volume by 40 pc.

László Mihányi said that most producers sell their pálinka in the tourism and catering sector. He added that authorities should be more effective in checking private distilleries since many run illegal breweries and distilleries.

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What’s more, many restaurants and bars buy their products and supplement legal and higher quality products with them to reduce their costs.

He does not have exact data about the volume of the problem, he said. However, he knows that even top restaurants and hotels also use the “technique” apart from the small pubs.

According to agroinform.hu, the pálinka of the year was exhibited in the Hungarian Agricultural Museum in the Vajdahunyad Castle (City Park, Budapest). In 2020, a törkölypálinka of the Brill Pálinka House was the winner. In 2021, an apple spirit won, Várda-Drink Zrt’s Exclusive Jonathan pálinka.

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Source: Infórádió, agroinform.hu